The Kempinski Mall of the Emirates Hotel in Dubai has awarded a £21 million (Dh129.7m) contract to refurbish it from top to bottom.
Rising room and occupancy rates, as well as the significant growth in tourist traffic predicted ahead of Expo 2020, are encouraging hoteliers to redevelop existing facilities.
The tender was awarded to ISG, a construction company listed in London, which has also redeveloped one of Louis Vuitton’s Parisian stores and the facade of a US-themed attraction in Hong Kong’s Disneyland. The Sheraton Dubai Creek completed a refurbishment late last year, while Vida Downtown Dubai, formerly the Qamardeen Hotel, has also received a facelift.
The Dubai Department of Tourism and Commerce Marketing (DTCM) expects an influx of 20 million tourists between 2020 and 2021. The supply of hotel rooms is expected to grow to between 140,000 and 160,000 ahead of the Expo, according to the Dubai Chamber of Commerce and Industry – which is likely to increase competition between hoteliers.
Occupancy rates in the emirate stood at 80 per cent last year as 11 million tourists passed through Dubai, compared to the 6.1 million the city attracted in 2009.
China in particular is growing in importance as a source market, with 275,000 tourists recorded last year, according to the DTCM, compared to 96,000 in 2008.
abouyamourn@thenational.ae
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